Question
University Car Wash built a deluxe car wash across the street from campus. The new machines cost $258,000 including installation. The company estimates that the
University Car Wash built a deluxe car wash across the street from campus. The new machines cost $258,000 including installation. The company estimates that the equipment will have a residual value of $28,500. University Car Wash also estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows:
Year 1 2 3 4 5 6 Hours Used 2,700, 1,500, 1,600 , 2,400, 2,200 , 2,100
1.depreciation schedule for six years using the straight-line method.
deppreciation expense, accumulated deprecition ,and book value
2. depreciation schedule for six years using the double-declining-balance method.(Do not round your intermediate calculations.)
11.
3.depreciation schedule for six years using the activity-based method.(Round your "Depreciation Rate" to 2 decimal places and use this amount in all subsequent calculations.)
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